Becoming an international buyer

For those who prefer a dose of sunshine in the middle of a New Zealand winter, the only option isn't a few weeks at a beach or an island resort. Increasingly, local buyers will find places such as the Gold Coast, North Queensland, Vanuatu and Fiji, all only a short flight away, viable places for a holiday home.

Aaron Brooks, CEO of Harcourts in Queensland, highlights several issues to consider when investing offshore. "When investing, you need to consider the yield as opposed to the capital growth," says Brooks. "For example, the Gold Coast offers some older beachside units that may not give a high yield, but will give strong capital growth".  Brooks also advises clients to travel to the location and get a feel for the area. 

Harcourts is involved in several Gold Coast developments, including a lifestyle investment situated on Ephraim Island, off the coast of Queensland. Described as an extraordinary and rare location, the island provides a choice of apartments, villas, and houses. A private marina and an emphasis on luxury also redefines the meaning of island living.

Harcourts Queensland is also promoting a lesser known Queensland location called Bargara, a coastal suburb approximately 10 minutes inland from Bundaberg. At the southern most tip of the Great Barrier Reef, the location offers a quieter and more laid back holiday. Brooks believes that more and more New Zealanders are considering Queensland as a great place to invest and to live.

Chester and Louise Rendell are Bayleys Real Estate agents for Fiji. They believe that the Pacific islands are increasingly being recognised as an idyllic family holiday destination in both winter and summer. " Stunning beaches, a laid back lifestyle and the genuine friendliness and hospitality of the locals, are all drawcards for both holidaymakers and potential home owners," says Chester.

"Apart from the usual thorough investigations any investor would employ, potential purchasers should be aware of who the developer is and who is marketing the property," says Chester. "Trusted and professional operators, with a reputable company and name, should always be your first choice.

"Property accessibility, including road access and water access are hugely important issues," he says. Also important is how far the property is from an international airport, and if the property is only accessible by ferry, how regular is the timetable, and does the ferry carry provisions into the area?

"Purchasers should be clear on their reasons for buying,'' says Louise. "Is it a lifestyle decision or a business one?  For example, some people just want to get away from the New Zealand winter, and stay in Fiji for up to six months, usually during the peak tourism period. This lifestyle decision will reduce the potential income for the property. However, if income is important then it may be best to invest in a resort apartment, with the understanding that there will be limitations on use. "

The Rendells see a range of buyers taking up residence in the Pacific islands. These include families looking for a holiday destination and/or income, investors wanting to capitalise on increasing tourism, empty nesters who want to summer all year, and young couples wanting to secure affordable prime waterfront property.